Caltherm Finds Success in the Cloud

  • Staff Writer
  • June 10, 2015
  • Customers

You can make the best products in the world, but accurate and on-time delivery can be just as important to customer satisfaction.

Caltherm is one of the world’s leading suppliers of thermostats for diesel, automotive, marine and agricultural applications. If you’ve driven it, hauled it or captained it, there’s a good chance a Caltherm thermostat was protecting the power plant.

For years, the company used an on-premise ERP system to manage its operations, but the system forced awkward processes, hindered workflows and hampered the productivity of plant floor operations.

More importantly, the system didn’t capture product data during the manufacturing process. Data collection was inconsistent, leading to inaccuracies in inventory recording, quality management, label printing and shipping. And because the ERP system required separate inventory and shipping processes, inaccurate documentation was often sent with the right parts. Customers were frustrated.

“Lots of our people found it difficult to do their jobs as effectively as they’d have liked and we were losing money due to problems we were having with shipping and labeling,” says Matt Shamblin, Technical Services Manager at Caltherm.

The team first tried re-implementing their on-premise ERP solution. Not only was the process cost prohibitive, but the promised functionality simply didn’t work. Caltherm looked at other ERP systems – on-premise and cloud-based – and found what they needed with Plex.

“We make thermostats,” says Shamblin. “Our business is not managing servers. Our business is not developing software. That’s not how we make money. We make money by shipping thermostats. So if I can focus my resources on improving our processes and supporting the efforts to ship thermostats instead of rebuilding databases than that’s a value add for the organization.”

Since launch, Caltherm has improved inventory and shipping management by moving both functions into a single system. Inventory data generated through the manufacturing process is directly connected to customer shipping information. Not only is customer satisfaction improved, so are shop floor processes as well as quality and traceability.

“Everyone at Caltherm is excited about the difference Plex is making to our business,” says Shamblin. “We already had the infrastructure and clever minds to define our ambition to be a leading innovator in thermo-engineering solutions. Now we have a cloud ERP to make that vision a quality-driven reality.”

Caltherm, a leading supplier of thermostats for diesel and automotive applications, knew they needed a new system that could connect to their shop-floor operations to ensure inventory accuracy and quality management. They turned to the Plex Manufacturing Cloud for a single system where all the manufacturing processes that Caltherm required were integrated. Here's their story.